MI SB1173

Amends the Michigan Liquor Control Code to allow on-premises licensees in development districts within cities with populations exceeding 600,000 to sell alcoholic liquor between 2 a.m. and 4 a.m. daily with an extended hours permit.

Requires permit applicants to pay a $10,000 annual fee and demonstrate they will employ one security person per 50 customers, maintain security personnel from 11 p.m. to 4 a.m., and have 360-degree video surveillance on premises.

Establishes an extended hours permit fund within the state treasury to receive and manage permit fees, with the commission required to approve or deny applications within 90 days of receipt.

Distributes collected permit fees as follows: 5% to cities for administration costs, 85% to police departments for enforcement, and 10% to the liquor commission for licensing and enforcement.

Maintains the existing statewide prohibition on alcohol sales between 2 a.m. and 7 a.m. for all other licensees and allows local governments to impose stricter restrictions on Sunday sales of beer, wine, and spirits.